Nexo Demands Anonymous Twitter Account Stop Maligning Firm
Fracas Reflects Mounting Tension in Crypto
By: Jason LevinByte
In a dustup that demonstrates the rising tension in crypto, Nexo, a lending platform, demanded Monday that an anonymous Twitter account stop disparaging the firm in an incendiary thread.
“You are currently engaged in malicious spreading of inaccurate, fake and unfounded information,” Nexo wrote in a letter posted online. Nexo said the Twitter account was damaging its reputation.
Nexo demanded that the accountholder, who goes by the handle otteroooo, “cease and desist” from making more comments and delete communications about the company on social media.
The accusations come amid heightened concern about centralized crypto platforms’ holdings and lack of transparency. Earlier this month Celsius froze user accounts and investors questioned competitor BlockFis’ liquidity amid a $250M credit line offered by FTX.
@otteroooo wrote a thread accusing Nexo’s founder and family of siphoning funds from a charity for sick children, using the donations as a personal fund, and even building a palace for themselves. @otteroooo wrote that Nexo co-founder Kosta Kantchev was on the board of HelpKarma, a children’s charity that underwent an embezzlement scandal in 2018.
The thread has attracted 1,253 retweets and 4,217 likes.
On June 26, Nexo posted an article titled Anatomy of Fake News: The Latest Attack on Nexo, in which it refutes @otteroooo’s claims, and said the founder of HelpKarma is Constantine Krastev, not Kantchev.